Commentaries: Art. 30

The operator shall identify, measure, manage and monitor its custody and investment risks through the use of appropriate procedures and tools.
If the operator places own assets or collateral and assets of participants in the custody of a third party, it shall minimise the associated risks. In particular, it shall place the collateral and assets concerned with creditworthy and, wherever possible, supervised financial institutions, and shall take measures to ensure that, if necessary, it can access the collateral and assets immediately.
The operator’s investment strategy shall be consistent with its risk management strategy and allow only liquid investments with minimal credit and market risks. The operator shall avoid risk concentrations and disclose the investment strategy vis-à-vis its participants, in particular regarding the possible re-use of the collateral they have provided.